Fuel, Food Prices Push Inflation To 27.6 %

Professor Kobina Annim

Inflation rose to 27.6 percent in May 2022 following an upsurge in fuel and food prices, the Ghana Statistical Service (GSS) has said.

This represents a four percent increase in the inflation rate of 23.6 percent recorded in April 2022.

The Consumer Price Index (CPI) data released by the GSS recorded a one percent drop in the month on month inflation to record a 4.1 percent in May 2022.

According to the Government Statistician, Professor Kobina Annim, the data showed that Food inflation in May 2022 was 30.1%, compared with 26.6% in April 2022.

Non-food inflation was however, 25.7% in May 2022, as against 21.3% the previous month.

The margins between food and non-food inflation was 4.4 percent relative to 5.4 percent for March 2022 and 5.3 percent for April 2022.

For the year-on-year food inflation for May 2022, five sub-classes record inflation rates higher than the overall food inflation (30.1%). This was distantly led by Oils and Fats (52.0%) followed by Water (42.4%).

Whilst inflation for locally produced items was 27.3 percent, inflation for imported items stood at 28.2 percent in the month under review.

GSS noted that this is the second time in 29 months that inflation for imported items exceeded domestic inflation.

Also, the rate of inflations for Transport (39.0%), Household Equipment and Maintenance (33.8%), Housing, Water, Gas and Electricity (32.3%) were higher than the national average of 27.6%.

In May 2022, twelve of the thirteen divisions recorded inflation rates higher than the rolling average from June 2021 to May 2022.

Meanwhile, Eastern region for the first time in a while recorded the highest rate of inflation of 31.2% due to rising food prices in the region.

Upper East region however recorded the least inflation rate of 19.5%.

Whilst the Greater Accra region recorded an inflation rate of 29.7%, the Ashanti region recorded inflation rate of 27.1%.

By Jamila Akweley Okertchiri